Summary of Financial Results for Fiscal Period Ended December 31, 2019 (Infrastructure Fund)I n f ra st r uct u re F u n d I s s ue r
S e c u r i t i e s C o d e
R e p r e s e n t a t i v e
Asset Management Company
R e p r e s e n t a t i v e
C

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n

t

a

c

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Scheduled filing date of securities
reportSupplementary materials forfinancial results
Financial results briefing session

February 13, 2020
L i s t e d S t o c k Tokyo Stock
Canadian Solar Infrastructure Fund, Inc.
E x c h a n g e Exchange
9284
URL
https://www.canadiansolarinfra.com/(Title)Executive Director(Name) Tetsuya Nakamura
Canadian Solar Asset Management K.K.
CEO and Representative(Title)(Name) Tetsuya Nakamura
Director(Title)Chief Financial Officer(Name) Hiroshi Yanagisawa
Tel.
03(6279)0311
Scheduled date ofcommencement of cash
distribution payment

March 30, 2020

March 17, 2020

YES
YES（For institutional investors and analysts）(Amounts are rounded down to million yen)
1. Status of Management and Assets for Fiscal Period Ended December 31, 2019 (from July 1, 2019 to December 31, 2019)(1) Management Status(Percentage figures are the rate of period-on-period change)
Operating revenues
Operating income
Ordinary income
Net income
Million yen%
Million yen%
Million yen%
Million yen%
Fiscal period ended
2,088
(4.4)
696
(14.7)
534(24.8)
534(24.8)
Dec. 2019
Fiscal period ended
2,185
22.4
817
26.7
711
72.1
710
72.3
Jun. 2019
Rate of returnon equity

Profit per unit
Fiscal period ended
Dec. 2019
Fiscal period ended
Jun. 2019

Ordinary profit
to total assets ratio

Ordinary profit tooperating revenue ratio

yen

%

%

%

2,309

2.4

1.1

25.6

3,073

3.2

1.5

32.5

(2) Status of Cash Distributions
Distributions
Total
per unit
distributions Distributions in(excluding(excludingexcess of
distributions
distributions
earnings perin excess ofin excess ofunit
earnings)
earnings)
Yen
Million yen
Yen
Fiscal period
ended Dec. 2019
Fiscal period
ended Jun. 2019

Million yen

Distributions
per unit(including
distributions
in excess ofearnings)
Yen

%

%

2,310

534

1,340

309

3,650

843

100.0

2.4

3,073

710

577

133

3,650

843

100.0

3.2

Total
distributions
in excess ofearnings

Total
distributions(including
distributions
in excess ofearnings)
Million yen

Payout ratio

Ratio ofdistributions to
net assets(Note 1) The payout ratio is calculated according to the following formula.
Payout ratio = distributions per unit (excluding distributions in excess of earnings) / profit per unit x 100(Note 2) The payout ratio and the ratio of distributions to net assets are calculated based on the numerical data excluding
distributions in excess of earnings.
(Note 3) Total distributions in excess of earnings are all refunds of investments that constitute distributions on the decrease ofcapital contribution under the tax law.
(Note 4) The ratio of the decrease in net assets upon distributions in excess of earnings (refunds of investments that constitutedistributions on decrease of capital contribution under the tax law) is 0.007 for the fiscal period ended June 30, 2019
and 0.015 for the fiscal period ended December 31, 2019. In this regard, the ratio of the decrease in net assets is
calculated according to Item 4, Paragraph 1, Article 23 of the Ordinance for Enforcement of the Corporation Tax
Act.

- 1 -

(3) Financial Position
Total assets
Million yen

Net assets
Million yen

50,06945,981

Fiscal period ended
Dec. 2019
Fiscal period ended
Jun. 2019

Equity ratio

Net assets per unit%

yen

21,88343.7

94,65622,19348.3

95,996(4) Status of Cash Flows

Million yen

Million yen

Million yen

Cash and cash
equivalents at the endof the fiscal period
Million yen

1,045(4,653)

3,607

2,466

2,265

(1,405)(1,616)

2,466

Cash flows fromoperating activities
Fiscal period ended
Dec. 2019
Fiscal period ended
Jun. 2019

Cash flows frominvesting activities

Cash flows fromfinancing activities

2. Forecasts of Management Status for Fiscal Period Ending June 30, 2020 (from January 1, 2020 to June 30, 2020), Fiscal PeriodEnding December 31, 2020 (from July 1, 2020 to December 31, 2020) and Fiscal Period Ending June 30, 2021 (from January 1,
2021 to June 30, 2021)(Percentage figures are the rate of period-on-period change)
Operating revenues Operating income

Fiscal period
ending June
2020
Fiscal period
ending Dec.
2020
Fiscal period
ending Jun.
2021

Ordinary income

Distributions perunit (excluding
distributions inexcess of
earnings)

Net income

Distributions inexcess of earnings
per unit

Distributions perunit (including
distributions inexcess of
earnings)

Millionyen%

Millionyen%

Millionyen%

Million
yen

%

yen

yen

yen

2,352

11.2

814

14.4

656

18.5

655

18.5

2,837

863

3,700

2,405

2.1

862

5.5

706

7.0

705

7.0

3,052

648

3,700

2,340

(2.7)

824

(4.6)

673

(4.9)

672

(4.9)

2,909

791

3,700

(Reference)
Fiscal period ending June 30, 2020 (182 days): Forecast total number of investment units issued and outstanding at end of
the period: 231,190 units, Forecast profit per unit: 2,837 yen
Fiscal period ending December 31, 2020 (184 days): Forecast total number of investment units issued and outstanding at endof the period: 231,190 units, Forecast profit per unit: 3,085 yen
Fiscal period ending June 30, 2019 (181 days): Forecast total number of investment units issued and outstanding at end of
the period: 231,190 units, Forecast profit per unit: 2,909 yen* Other(1) Changes in Accounting Policies, Changes in Accounting Estimates and Retrospective Restatement(i) Changes in accounting policies associated with amendments to accounting standards, etc.: No(ii) Changes in accounting policies other than (i):No
(iii) Changes in accounting estimates:No(iv) Retrospective restatement
No

- 2 -

(2) Total number of investment units issued and outstanding(i) Total number of investment units issued and outstanding(including treasury units) at end of period(ii) Number of treasury units at end of period

Fiscal period
Dec. 2019
Fiscal period
Dec. 2019

231,1900

Fiscal period
Jun. 2019
Fiscal period
Jun. 2019

231,1900(Note) For the number of investment units based on which profit per unit is calculated, please refer to “Notes regarding
information per unit” on page 28 below.

*

Explanation of Appropriate Use of Forecast of Management Status and Other Matters of Special Note
Forecast of management status and other forward-looking statements contained in this document are based on information that iscurrently available and certain assumptions that are deemed reasonable by Canadian Solar Infrastructure Fund. Accordingly, theactual management status, etc. may differ materially due to various factors. In addition, the forecast is not a guarantee of theamount of cash distributions. For details of the assumptions underlying the forecast of management status, please refer to“Assumptions Underlying Forecast of Management Status for Fiscal Period Ending June 30, 2020 (January 1, 2020 to June 30,2020), Fiscal Period Ending December 31, 2020 (July 1, 2020 to December 31, 2020) and Fiscal Period Ending June 30, 2021
(January 1, 2021 to June 30, 2021),” described on or after page 9 below.

- 3 -1. Associated Corporations of Canadian Solar Infrastructure Fund
Disclosure is omitted because there have been no significant changes from the description in the latest securities report (submitted
on September 27, 2019).

2. Management Policy and Management Status(1) Management Policy
Disclosure is omitted because there have been no significant changes from the description in the latest securities report (submitted
on September 27, 2019).
(2) Management Status
I. Overview of the Fiscal Period under Review
a. Brief History of Canadian Solar Infrastructure Fund
Canadian Solar Infrastructure Fund, Inc. (hereinafter referred to as “CSIF”) was established on May 18, 2017 with money
invested of 150 million yen (1,500 units) by Canadian Solar Asset Management K.K. (hereafter referred to as the “AssetManager”) as the founder under the Act on Investment Trusts and Investment Corporations (Act No. 198 of 1951 including
subsequent amendments; hereinafter referred to as the “Investment Trusts Act”). Registration with the Kanto Local Finance
Bureau was completed on June 9, 2017 (registration number 127, filed with the Director of the Kanto Local Finance Bureau).
CSIF issued additional investment units (177,800 units) through a public offering on October 27, 2017, listed its investment
units on Tokyo Stock Exchange Inc.’s (hereinafter referred to as the “Tokyo Stock Exchange”) Infrastructure Fund Market on
October 30, 2017 (security code: 9284), and issued new investment units (2,890 units) through third-party allotment on
November 28, 2017.
In addition, CSIF issued new investment units (46,667 units) through public offering on September 6, 2018 and issued newinvestment units (2,333 units) through third-party allotment on October 4, 2018. As a result, the total units issued at the end of
the fiscal period under review (as of December 31, 2019) were 231,190 units.
b. Investment Environment
During the fiscal period under review, the Japanese economy remained steady in the first half, partly because last-minutedemand before the consumption tax hike gave a boost to consumer spending and capital investment, which underpin domestic
demand. In the second half, pushed lower by decline in reaction to the last-minute rise in demand before the consumption tax
increase and impact of Typhoon No. 19, the industrial production index, which is strongly linked to the business cycle, also
showed larger month-over-month decreases, and Japan’s real GDP dropped for the first time in five quarters.
The stock market in Japan was buffeted by the twists and turns of U.S.-China trade tensions. In September, the U.S. announced
the delay of increases on existing Chinese tariffs to October 15 and the Japanese stock market rallied, only to fall again amid
concerns over a resurgence in US-China trade hostilities as the US Government considered a block on all American investments
in China. In October, stocks rose sharply on speculation that the U.S. and China were reaching agreement on some issues in tradetalks and on expectation that Japanese companies’ earnings would bottom out. In November, stocks continued to rise, responding
positively to mounting expectations of a U.S.-China deal and a weakening yen and, after the U.S. reached a partial trade deal
with China in trade talks on December 13, the Nikkei average reached its highest level of the year.
Meanwhile, the Infrastructure Fund Market responded positively to continued quantitative easing in Japan and changes in thequantitative easing strategies of the U.S. and Europe, with demand among investors aware of the relatively high yields of theInfrastructure Fund Market remaining strong, and the Infrastructure Fund Market firmed up from July. Through to mid-November,risk appetite increased amid expectation of progress in U.S.-China trade talks and rising domestic interest rates led to market
downturn. However, the increasing tensions in Hong Kong put a halt to the rise in domestic interest rates and the Infrastructure
Fund Market recovered. On December 13, the U.S. and China reached a phase one trade deal in trade talks, directing capital
flows towards Japanese stocks and leading to a temporary slump on the Infrastructure Fund Market. However, since then, theInfrastructure Fund Market has remained steady, partly due to purchases by yield-oriented investors.
In the environment surrounding renewable energy power generation facilities (stipulated in Article 2, Paragraph 3 of the Act
on Special Measures Concerning Procurement of Electricity from Renewable Energy Sources by Electricity Utilities [Act No.
108 of 2011, including subsequent amendments; hereinafter referred to as the “Act on Renewal Energy Special Measures”][excluding those that fall under real estate]; hereinafter referred to as “renewable energy power generation facilities”) held by
CSIF, the output curtailment implemented by Kyushu Electric Power Co., Inc. (hereinafter referred to as “Kyushu ElectricPower”), which requires renewable energy operators to temporarily suspend power generation through photovoltaic power
generation facilities and wind power generation facilities (Note), was resumed for the first time since May 13, 2019 across- 4 -Kyushu Mainland from October 13, and was implemented for two days including weekdays in October, 10 days in November
and one day in December. The level of renewable energy control in the fiscal period under review was small compared to thelevel of output control the previous fiscal period, ranging from 2% to 15% of the renewable energy connection capacity. This
may reflect the start of regular inspections of the Genkai Nuclear Power Station Unit No.3 of Kyushu Electric Power on May 13,
2019 and the start of regular inspections of Genkai Nuclear Power Station Unit No.4 of Kyushu Electric Power on August 16.
Some system changes that will affect power generation using renewable energy power generation facilities are currently being
considered. The main changes being considered are as described below.
Firstly, the introduction of a reserve system to secure the funds for costs of decommissioning solar power facilities is being
considered. The interim report of the Working Group for Securing Funds for Decommissioning Solar Power Facilities of theEnergy Conservation and New Energy Subcommittee of the General Resources and Energy Investigating Committee of the
Ministry of Economy, Trade and Industry published on December 10, 2019 states that a scheme requiring all commercial solar
power of 10kW or more certified under the Act on Renewable Energy Special Measures to reserve an amount calculated basedon the decommissioning costs assumed in the calculation of procurement prices over the last 10 years of the procurement period
will start by July 2022. Projects will be required in general to secure the funds through an “external reserve method," where thefunds for decommissioning costs are to be deducted from income and reserved by a third-party organization, but projects deemedcapable of assuming responsibility for long-term stable power generation will be allowed, if certain requirements are satisfied,
to opt for an "internal reserve method," where they reserve such funds themselves.
Next, the introduction of so-called power producer-side base charges is being considered. Power producer-side base charges
is a system for ensuring that the producer side, which uses power grids, also bears a portion of the transmission and distributionrelated expenses, previously borne by retail electricity business operators (the demand side) through wheeling charges, and the
System Design Working Group of the Electricity and Gas Market Surveillance Commission is currently examining the detailed
design of the system, aiming for introduction in FY2023. Alongside the introduction of power producer-side base charges, theadoption of relief measures i.e. raising the cap on the amount to be borne by general electricity transmission and distribution
business operators (general fees) when connecting renewable energy-sourced facilities to the grid and reducing initial costs ofpower producers are also being considered. Since power producer-side base charges will also be imposed on power producers
who sell electricity under the Feed-in Tariff scheme (hereinafter referred to as “FIT scheme”) for renewable energy based on the
Act on Renewal Energy Special Measures (hereinafter referred to as “FIT power producers”), the Procurement Price Calculation
Committee is currently considering relief measures for FIT power producers and the 53rd meeting of the Procurement Price
Calculation Committee held on December 27, 2019 indicated that it will introduce additional electricity sales prices separate
from procurement prices. However, the relief measures may not be applied at all to commercial solar power projects that had
obtained a FIT approval during the profit incentive period (in other words, projects with a procurement price of between ¥29 per
kwH + tax and ¥40 per kwH + tax) and non-operational projects. What is more, when it comes to photovoltaic power and wind
power which have reduced capacity factors, although the abovementioned relief measures are unlikely to be commensurate withthe additional costs resulting from introduction of power producer-side base charges, there is no telling whether additional relief
measures through FIT scheme surcharges will be implemented to address this.
In addition, a fundamental revision of the Act on Renewable Energy Special Measures, which, in accordance with Article 3 of
the Supplementary Provisions of the Act on Renewable Energy Special Measures, is supposed to be completed by March 31,
2021, is also being discussed. The draft interim report of the Subcommittee to Reform System for Using Renewable Energy as
Main Power Source (hereinafter referred to as the “Interim Report of the Subcommittee to Reform System for Using Renewable
Energy as Main Power Source”) of the Strategic Policy Committee of the General Resources and Energy Investigating Committee
published on December 26, 2019 discussed the development of a support system that fits in with the characteristics of powersources, promotion of community-based renewables, the formation of a next-generation power network for using renewableenergy as a main power source and other points.
Especially in regard to the development of a support system that fits in with the characteristics of power sources, the report
divided power sources into competitive power sources (large-scale commercial photovoltaic power generation, wind power
generation, etc.) and community-based power sources (small-scale power generation) and then, with respect to competitive powersources, proposed accelerating costs reductions through an auction system, shifting from the FIT scheme to a FIP scheme, andintegrating renewable energy with the power market. When renewable energy power producers sell the electricity they haveproduced on the wholesale electricity market or in negotiated bilateral electricity transactions (OTC trading), the FIP scheme
adds a premium (fixed for a given period, sliding in the long term) i.e. the difference between the basic tariff (FIP price) (fixed)
and a tariff based on market prices (reference tariff) (fixed for a given period, sliding in the long term) on top. The Interim Reportof the Subcommittee to Reform System for Using Renewable Energy as Main Power Source proposed the creation of a systemthat would ensure both investment incentive (foreseeability of investment return) and power generation activity based on an- 5 -awareness of market prices. With regard to market integration, the report also proposes examination of incentives for renewableenergy power producers to prevent any imbalance and the adoption of a framework under which renewable energy power
producers will sell environmental value themselves through OTC trading or auction.
However, the photovoltaic power generation facilities, etc. owned by CSIF have already started selling electricity under the
FIT scheme and, under transitional measures, these facilities, etc. are likely to be able to continue selling electricity based on
current procurement prices under the existing FIT scheme framework.
(Note) “Photovoltaic power generation facilities” shall refer to renewable energy power generation facilities that generate power by using sunlight,
among other sources, as energy, while “Wind power generation facilities” refer to renewable power generation facilities that generate
power by using wind power, among other sources, as energy. The same shall apply hereunder.

c. Management Performance
During the previous fiscal period, CSIF acquired one facility on March 1, 2019 with cash on hand and another facility on
March 29, 2019 using borrowings and cash on hand, or a total of two photovoltaic power generation facilities, etc. (Note 3) (atotal panel output (Note 1) of 3.3MW and a total acquisition price (Note 2) of ¥1,320 million). As a result, CSIF held a portfolio
consisting of 20 facilities (a total panel output of 108.9MW and a total price (Note 4) of ¥50,000 million) as of the end of the
fiscal period under review, making CSIF the largest operator among listed infrastructure funds in terms of assets scale.
During the fiscal period under review, CSIF acquired an additional facility, etc. on November 29, 2019 (a total panel output
of 10.8MW and a total acquisition price of ¥4,569 million (Note 2)) using borrowings and cash on hand. As a result, CSIF helda portfolio consisting of a total panel output of 119.8MW and a total price of ¥51,400 million as of the end of the fiscal period
under review and continued to be the largest operator among listed infrastructure funds.
(Note 1) “Panel output” shall mean output calculated by multiplying rated output per solar cell module (meaning the maximum output stated in
specifications of solar cell module) used in each solar energy facility by the total number of panels. The same shall apply hereunder.
(Note 2) “Acquisition price” shall mean the sale and purchase price (excluding outsourcing service fees and other acquisition expenses related to theacquisition of assets, property-related taxes, urban planning taxes, consumption taxes and other fees and charges) described in the sale andpurchase agreement pertaining to each asset acquired. It shall be rounded down to the nearest one million yen. The same shall apply hereunder.
(Note 3) “Renewable energy power generation facilities, etc.” shall collectively refer to renewable energy power generation facilities as well as realestate and the right of lease (including the right of sublease) of real estate or the surface right (hereinafter referred to as “Site, etc.”) to install,
maintain and operate the renewable energy power generation facilities. In addition, “photovoltaic power generation facilities, etc.” shallcollectively refer to photovoltaic power generation facilities (of renewable energy power generation facilities, photovoltaic power generation
facilities shall specifically refer to renewable energy power generation facilities that generate power using solar light as the source of energy;
the same shall apply hereunder) as well as real estate and the right of lease (including the right of sublease) of real estate or the surface rightto install, maintain and operate photovoltaic power generation facilities. The same shall apply hereunder.
(Note 4) “Price” shall mean the intermediate value calculated by CSIF using the appraisal value of each power plant as of June 30, 2019 for theprevious fiscal period and as of December 31, 2019 for the fiscal period under review as stated in valuation reports obtained fromPricewaterhouseCoopers Sustainability LLC or Ernst & Young Transaction Advisory Services Co., Ltd.. The same shall apply hereunder.

d. Overview of Financing
In the fiscal period under review, CSIF undertook the issuance of ¥1,100 million yen in private bonds and the borrowing offunds amounting to a total of ¥4,800 million in November 2019. On the other hand, CSIF made a repayment before maturity of¥820 million yen and a contractual repayment at the end of the fiscal period under review, and the amount of borrowings as ofthe end of the fiscal period under review came to ¥26,873 million. Consequently, the ratio of interest-bearing debt to total assets(ratio of interest-bearing debt to total assets at the end of fiscal period) was 55.9%.
On September 13, 2019, CSIF was awarded credit rating by the credit rating agency shown below and was awarded a bondrating for its First Series of Unsecured Investment Corporation Bonds on October 29, 2019.
CSIF’s Credit Rating and Bond Rating
Rating Agency

Rating Subject

Rati
ng

Rating Outlook

Japan Credit Rating Agency,
Ltd. (JCR)

Long-term Issuer Rating

A-

StableThe 1st Unsecured Investment Corporation BondA--e. Overview of Business Performance and Distributions
As a result of the management described above, the business performance in the fiscal period under review recorded operating
revenue of ¥2,088 million, operating income of ¥696 million (mainly due to the impact of unseasonable weather), ordinary
income of ¥534 million and net income of ¥534 million.
- 6 -Pursuant to the cash distribution policy set forth in Article 47, Paragraph 1 of its Articles of Incorporation, CSIF shall
distribute an amount in excess of the amount equivalent to 90% of its distributable earnings as defined in Article 67-15 of the
Act on Special Measures Concerning Taxation.
In addition, distributions in excess of earnings are calculated on the premise that such distributions will generally be made inaccordance with the cash distribution policy prescribed in CSIF’s Articles of Incorporation and the Asset Manager’s asset
management guidelines formulated as part of its internal regulations.
CSIF intends to make cash distributions to its unitholders for each fiscal period from free cash flow (hereinafter referred toas “FCF”) generated by its renewable energy power generation facilities, in amounts determined in the following manner. The
amount available for distribution shall be calculated by multiplying FCF, that is net cash flow (hereinafter referred to as “NCF”;
CSIF shall incorporate the total amount of NCF remaining after deducting distributions for the preceding fiscal periods incalculating NCF) to be vested to equity investors after deducting FCF payable to debt investors, by a certain ratio (hereinafterreferred to as “payout ratio”; The payout ratio for the 5th fiscal period is 82.0%.) determined by CSIF in light of the amount of
NCF for each fiscal period.
At the same time, CSIF intends to maintain a stable level of distributions for the time being. In determining the payout ratio
described above, CSIF will consider the forecast NCF for each fiscal period to realize that level of distributions.
In addition to a cash distribution within the range of profit, CSIF intends to make distributions in excess of earnings foreach fiscal period on a continuous basis in order to realize this policy.
In developing its performance forecast (including any revisions thereof) for each fiscal period, in the case where NCF
calculated from actual energy output in a fiscal period (hereinafter referred to as “actual NCF”; CSIF shall incorporate the total
amount of NCF remaining after deducting distributions for the preceding fiscal periods in calculating actual NCF) exceeds NCF
projected for the fiscal period (hereinafter referred to as “projected NCF”; CSIF shall incorporate the total amount of NCF
remaining after deducting distributions for the preceding fiscal periods in calculating projected NCF) on the basis of an energy
output value projected by professional specialists (P50) which forms the foundation for the calculation of rents with regard to
the renewable energy power generation facilities, CSIF intends to limit the cash distribution to the amount of projected NCF
multiplied by the payout ratio for said fiscal period.
On the other hand, in the case where actual NCF is equal to or below projected NCF, CSIF intends to make a cash distribution
for the fiscal period at the amount of actual NCF multiplied by the payout ratio.
Based on the above policy, CSIF determined to make a distribution for the fiscal period under review of ¥843,843,500,
equivalent to 82.0% of projected NCF for the period (¥1,029,345,000). As a result, distribution in excess of earnings is¥309,794,600, after deducting dividends for the period of ¥534,048,900. Dividend per investment unit is ¥3,650 for the fiscal
period under review.
II. Outlook for the Next Fiscal Perioda. Outlook for the Future Management
Although Japan’s real GDP turned negative in the October-December 2019 quarter, the economy is expected to grow slightly
by an annualized 0.4% in the January-March 2020 quarter, when the impact of the reactionary decline and natural disasters
weakens. Growth will then accelerate through the July-September quarter when the Tokyo Olympics are held. It has been pointed
out that, after the Olympics, from the second half of FY2020 through the first half of FY2021, the economy may start to stagnate
again as the positive economic impact of the Olympics wears off and this is a point that requires attention. U.S. economic andmonetary policy is expected to continue to be heavily influenced by President Trump’s trade policies especially his policy on
trade between the US and China. However, consumer spending will continue to drive growth and the nation’s GDP growth isexpected to slow down gradually. Meanwhile, the eurozone faces a long period of weak economic growth. Although downward
pressure from foreign demand and inventory adjustments is expected to ease, a slowdown in capital spending and consumer
spending is forecast. The political situation in major economies will remain turbulent in 2020, thwarting international cooperation,and this is likely to be a factor that hampers economic activity.
With respect to the environment surrounding photovoltaic power generation facilities that are included in renewable energy
power generation facilities, as stated in “(I. Overview of the Fiscal Period under Review) b. Investment Environment” above,
the output curtailment that requires renewable energy operators to temporarily suspend power generation through photovoltaic
power generation facilities, etc. was resumed in areas under the jurisdiction of Kyushu Electric Power from October 2019.
However, if renewable energy adoption continues to expand in the future, output curtailment may also be implemented in otherregions besides the Kyushu region such as the Tohoku region and the Chugoku region.
Meanwhile, Kyushu Electric Power has announced plans to shut down No.1 and 2 reactors at the Sendai Nuclear Power Plant(Satsumasendai, Kagoshima Prefecture) from March 2020 and to phase them back into operation from December. According to- 7 -the announcement, Kyushu Electric Power will move forward the regular inspection of the No. 1 reactor planned for November
2020, shutting down the reactor for around 9 months from March 16, 2020 to December 26, 2020. It will also shut down the No.
2 reactor for around 8 months from May 20, 2020 to January 26, 2021, which includes the regular inspection that was planned
from late April 2021.
The reserve system to secure the funds for costs of decommissioning solar power facilities is supposed to start by July 2022,with any legislative relief measures taking shape in the course of the fundamental revision of the Act on Renewable Energy
Special Measures which is supposed to be completed by March 31, 2021.
As for the introduction of power producer-side base charges, the government will apparently examine the detailed design
including the details necessary for system development in FY2019, spend around two years from FY2020 developing the system,complete the tariff revision process (examination of wheeling charges, revision of existing bilateral contracts between power
producers and retailers) in FY2022 and then aims to introduce power producer-side base charges in FY2023. However, the timingof introduction may be revised where necessary for alignment with progress of related system reforms, including the Agency for
Natural Resources and Energy’s wheeling charge system reforms and other revisions and discussions, and the introduction timing
is not definite.
In accordance with Article 3 of the Supplementary Provisions of the Act on Renewable Energy Special Measures, thefundamental revision of the Act on Renewable Energy Special Measures is supposed to be completed by March 31, 2021, and abill including the draft amendments to the Act on Renewable Energy Special Measures is expected to be submitted to the Diet
during 2020.
b. Future Management Policy(i) External Growth Strategy
The Canadian Solar Group (Note 2), which is the Sponsor Group (Note 1) of CSIF, adopts the vertical integration modelthat has developed mainly in the photovoltaic power generation market in Europe and America and applies this model in the
global market, including Japan. CSIF considers that mutual cooperation between the Group and CSIF (engaging in investment
in and management of photovoltaic power generation facilities) through the Sponsor Group based on the vertical integration
model for the construction of the value chain with the aim of creating mutual value should lead to the enhancement of value
for unitholders.
Specifically, CSIF intends to increase assets by utilizing the preferential trading negotiation right granted by the Sponsor
Group and acquiring photovoltaic power generation facilities, etc. whose value is high from the pipelines of the Sponsor. In
addition, CSIF will aim to acquire photovoltaic power generation facilities, etc. held by persons other than the Sponsor Groupby utilizing the Sponsor Group’s networks of brokers and power producers.
(Note 1) The “Sponsor Group” collectively refer to (i) the Sponsor (Canadian Solar Projects K.K.), (ii) special purpose companies (they may behereinafter referred to as “SPCs”), partnerships or other funds with which the Sponsor has entered into the asset management service
agreement, (iii) Canadian Solar O&M Japan K.K. (it may be hereinafter referred to as “CSOM Japan”) and (iv) special purpose companies,
partnerships or other funds in which the Sponsor or its subsidiary own a majority interest. The same will apply below.
(Note 2) The “Canadian Solar Group” refers to the consolidated corporate group with Canadian Solar Inc. (headquartered in Canada) at the top towhich the Sponsor (Canadian Solar Projects K.K.) belongs.

(ii) Internal Growth Strategy
CSIF will contract out O&M (Note) to CSOM Japan, which is a wholly owned subsidiary of the Sponsor and provides
O&M services in Japan, in principle, for the availability of homogeneous O&M services to the extent that CSIF considers
essential. CSIF aims to thereby reduce the operational risk and operating costs by utilizing the services of CSOM Japan andplacing a blanket order, respectively.
By making the most of the strong operation and management abilities realized by utilizing the global monitoring platformof the Sponsor Group in the early discovery and repair of failures of power generation facilities, CSIF will aim to reduce theloss of power generation. In addition, CSIF will implement the appropriate repair and facilities replacement of assets undermanagement to maintain and enhance the value of assets from the medium- to long-term perspective, thereby securing stablerevenue in the medium to long term.
(Note) “O&M” is an abbreviation of Operation & Maintenance. The same will apply below.

(iii) Financial Strategy
To secure stable revenue and ensure the growth of the managed assets of CSIF, CSIF will consider financing by public
offering, borrowings and other means in the acquisition of new assets, while watching changes in the financing environment
closely.
- 8 -c Forecasts of Management Status
The forecast of management status for the fiscal period ending June 30, 2020 (January 1, 2020 to June 30, 2020), the fiscal
period ending December 31, 2020 (July 1, 2020 to December 31, 2020) and the fiscal period ending June 30, 2021 (January 1,
2021 to June 30, 2021) is as follows. For details of the assumptions underlying the forecast of management status, please refer
to “Assumptions Underlying Forecast of Management Status for Fiscal Period Ending June 30, 2020 (January 1, 2020 to June30, 2020), Fiscal Period Ending December 31, 2020 (July 1, 2020 to December 31, 2020) and Fiscal Period Ending June 30,
2021 (January 1, 2021 to June 30, 2021)” described on or after page 9below.

Operatingrevenues

OperatingincomeOrdinary income

Net income

million yen

million yen

million yen

million yen

yen

yen

yen

2,352

814

656

655

2,837

863

3,700

2,405

862

706

705

3,052

648

3,700

2,340

824

673

672

2,909

791

3,700

Fiscalperiodending June
2020
Fiscalperiodending Dec.
2020
Fiscalperiodending Jun.
2021
Ⅲ

Distributions
Distributions
per unit
per unit
Distributions in(including(excludingexcess of
distributions
distributions
earnings per unit
in excess ofin excess ofearnings)
earnings)

Facts arising after the settlement of accounts

Not applicable
Assumptions Underlying Forecast of Management Status for Fiscal Period Ending June 30, 2020 (January 1, 2020 to June 30, 2020),
Fiscal Period Ending December 31, 2020 (July 1, 2020 to December 31, 2020) and Fiscal Period Ending June 30, 2021 (January 1,
2021 to June 30, 2021)
Item

Calculation period

Assumptions
・ 6th fiscal period: from January 1, 2020 to June, 2020 (182 days)
・ 7th fiscal period :from July 1, 2020 to December 31, 2020 (184 days)
・ 8th fiscal period :from January 1, 2021 to June 30, 2021 (181 days)
・The assumption is that CSIF has 21 photovoltaic power generation facilities, etc. that CSIF had

・

at the end of December 2019 (hereinafter referred to as the “Assets in Possession”).
These forecasts are based on the assumption that there shall have been be no changes in the・

composition of CSIF’s portfolio (acquisition of new projects or sale of acquired projects, etc.)
until the end of the 8th fiscal period, June 1, 2021.
CSIF’s portfolio may change, however, due to changes in the composition of the portfolio other・The lease agreements of the solar energy projects that CSIF intends to acquire will become

Portfolio

than the assumed new acquisition of projects as outlined above.

Operating revenues

effective as of the acquisition date. CSIF’s leasing structure for its solar energy projects will becomprised of basic rent and variable rent. Revenue forecasts for the 6th, 7th and 8th fiscal
periods are ¥2,352 million, ¥2,405 million and ¥2,340 million, respectively.
a) Basic rent for each solar energy project that CSIF intends to acquire is calculated asfollows:
Monthly projected energy output (P50) x (100-Y)% x 70% x FIT purchase price
Monthly projected energy output (P50) refers to such figure disclosed in the technical reports(an evaluation report of the system, the capacity, the relevant contracts attached andcontinuity (performance degradation and environmental evaluation)of the solar energy
facility) that the Asset Manager received from E&E Solutions Inc. with respect to each solar- 9 -energy project. Monthly projected energy output (P50) *¹x (100-Y)% *²represents the amountafter deduction of fees CSIF pays to the operators and fees regarding management of thelessee. Such amount will vary for each anticipated acquisition.
b) Variable rent for each solar energy project that CSIF intends to acquire is calculated asfollows:
Monthly actual energy output x (100-Y)% x FIT purchase price) – basic rent
Any amount that exceeds the basic rent after multiplying a certain rate of (100-Y)% to themonthly actual energy output for each solar energy project by FIT purchase price will be
captured as a performance-related variable rent. In any case, if the calculation of the variable
rent is a negative number, it shall be deemed to be zero.
(*Note 1) Projected energy output (P50) represents the output that is viewed to be achievable with a 50% probabilityby the third-party providers of the technical reports and other experts.
(*Note 2) Y represents the value for management costs of the lessees and operator remuneration fees. The value ofY will vary for each anticipated acquisition.

・Forecasted figures herein have been based on a projected energy output (P50) and are not・

guaranteed nor do they reflect the actual energy output, which will vary depending on the levelof solar irradiation.
CSIF has assumed no cancellations of the lease agreements or delinquencies or non-payment of・

rents by tenants.
CSIF has assumed that the current lease agreements will be renewed on equal terms under these
agreements.

・Of the main operating expenses for the lease of the acquired assets, operating expenses for the・Assets in Possession other than depreciation costs have been accounted for based on past figuresand estimates from subcontractors, etc., taking variables into account. Such costs for the 6th,
7th and 8th fiscal periods are assumed to be ¥626 million, ¥629 million and ¥601 million,
respectively.
Of the expenses for the lease of the Assets in Possession, property-related taxes are estimated at

・¥4 million, ¥4 million and ¥4 million for the fiscal periods ending June 30, 2020, December 31,
2020 and June 30, 2021, respectively.
Periodic payment of repair and maintenance costs based on the figures provided in the technical・

reports and the Asset Manager's estimate have been taken into account. However, these figures
are subject to revisions as the actual figures can vary significantly depending on the operating
period and are paid in irregular intervals, in addition to any instances where unexpected repairs
are required.
CSIF expects to pay ¥154 million, ¥154 million and ¥154 million for the 6th fiscal period, the・

7th fiscal period and the 8th fiscal period, respectively, as O&M fees.
CSIF has assumed that it will incur expenses related to the land lease of the Assets in Possession

・in the amount of ¥43 million, ¥43 million and ¥43 million for the fiscal periods ending June 30,
2020, December 31, 2020 and June 30, 2021 (the 6th, 7th and 8th fiscal periods), respectively.
CSIF has assumed that it will incur depreciation expenses, including certain ancillary expenses

Operating expensesof ¥911 million, ¥912 million and ¥914 million for the 6th, 7th and 8th fiscal periods,
respectively. These figures are calculated using the straight-line method.
・
Non-operating expenses

Borrowings

CSIF has also assumed interest expenses and other borrowing-related expenses of ¥156 million,¥155 million and ¥149 million for the 6th, 7th and 8th fiscal periods, respectively.

・As of today’s date, the balance of borrowings of CSIF is ¥27,973 million. CSIF assumes that it・will repay such borrowings in amounts of ¥741 million, ¥771 million and ¥762 million at theend of June 2020, December 2020 and June 2021, respectively, under the agreement.
CSIF estimates that the LTV (loan-to-value) ratio will be approximately 52.59%, 52.12% and51.1% as of the end of the 6th, 7th and 8th fiscal periods, respectively.
・ CSIF calculates LTV using the following formula.
LTV = Total interest-bearing debt / Total assets × 100- 10 -

Item

Assumptions
・

Number of investment units

Distributions per unit
(excluding distributions inexcess of earnings)

Distributions in excess ofearnings per unit

The assumption that CSIF uses is the total number of investment units issued and outstanding

as of the date of this document, which is 231,190 units. CSIF has assumed that there will be nochange in the number of units issued and outstanding resulting from the issuance of additional
investment units, etc. until the end of the 8th fiscal period ending June 30, 2021.
・ Distributions per unit (excluding distributions in excess of earnings), distributions in excess of・earnings per unit and distributions per unit (including distributions in excess of earnings) havebeen calculated based on the assumption that the number of units issued and outstanding as ofthe end of each fiscal period will be 231,190 units.
Distributions per unit (excluding distributions in excess of earnings) are calculated based on the・cash distribution policy prescribed in CSIF’s Articles of Incorporation.
Changes in lessees, fluctuations in rental revenues due to changes in lease agreements,

fluctuations in energy output, unforeseeable repair and maintenance expenses incurred and otherfactors may lead to changes in the amount of distributions per unit (excluding distributions inexcess of earnings).
・ Distributions in excess of earnings per unit will be generally based on the cash distribution・

policy prescribed in CSIF’s Articles of Incorporation and the Asset Manager’s asset
management guideline.
CSIF intends to make cash distributions to its unitholders for each fiscal period using cash flow

・

generated by the renewable energy projects (the “Free Cash Flow”*1). The amount available
for distribution shall be calculated by multiplying FCF less any amount payable to debt investors(the “Net Cash Flow,”*2 which shall belong to the equity investors; in the calculation of NCF,
the total amount of NCF remaining after deducting distributions for the preceding fiscal periods
is to be taken into account) by the applicable payout ratio, which will be determined by CSIF at
its discretion for each fiscal period. Further, CSIF intends to make distributions in excess ofearnings for each fiscal period in order to realize this policy.
With respect to distributions per unit (including distributions in excess of earnings) for the fiscal

periods ending June 30, 2020, December 31, 2020 and June 30, 2021 (the 6th/7th/8th fiscal
periods), CSIF intends to stably maintain the level of about ¥3,700. And the amount of
distributions in excess of earnings which CSIF plans to pay is ¥863 for the 6th fiscal period
ending June 30, 2020, ¥648 for the 7th fiscal period ending December 31, 2020 and ¥791 forthe 8th fiscal period ending June 30, 2021. This amount, including distributions in excess ofearnings, is calculated by multiplying the forecast NCF for the relevant fiscal period (which is
calculated at the beginning of the relevant fiscal period) by a certain ratio, as described above.
The ratio is determined at the beginning of each fiscal period, considering the forecast NCF forthe relevant fiscal period. The ratio used for the 6th fiscal period ending June 30, 2020 is 95.0%.
・ CSIF may not make cash distributions (refunds of investment) in excess of earnings upon・

consideration of other options, such as repair and capital expenditure, repayment of loans,appropriation to funds for the acquisition of new properties, and the acquisition of treasury
investment units, by comprehensively considering the economic environment, the market
environment relating to the renewable energy power generation projects, the financial positionsof CSIF and other circumstances.
In this regard, cash distributions in excess of earnings (refunds of investment) involve a decreasein funds on hand, and thus if capital expenditure beyond the expectations of CSIF is required
due to any sudden events or other causes, there is a possibility of a shortage of funds on hand or
a restriction on the flexible acquisition of properties in terms of funds. In addition, in the caseof a cash distribution (refund of investment) in excess of earnings, the amount of such
distribution will be deducted from the total amount of funds contributed or the contribution
surplus.

(*Note 1) Free Cash Flow (FCF): Rent revenues minus expenses related to rent business and capital expenditures
related to assets. Expenses related to rent business include all cash expenses related to operation, including
payment of asset management fees and administrative service fees, but exclude interest payments related tointerest-bearing debt or other financing-related expenses.
(*Note 2) Net cash flow (NCF): Free Cash Flow minus interest payments related to interest-bearing debt andrepayments of interest-bearing debt for the relevant fiscal period plus the total amount of NCF remaining after11

deducting distributions for the preceding fiscal periods.

・

CSIF has assumed that no revisions that will impact the above projections will be made to laws

・and regulations, tax systems, accounting standards, securities listing regulations and the rules of
The Investment Trusts Association, Japan, among others.
CSIF has assumed that no unforeseeable significant changes will occur in general economic

Otherstrends or conditions in the solar energy facility market and the real estate market.
(3) Risk of Investment
Disclosure is omitted because there have been no significant changes from the description in the latest securities report(submitted on September 27, 2019 including subsequent amendments.).

12

３．Financial Statement（１）Balance Sheet（Unit：thousand yen）
4th Period（June 30, 2019）
AssetsCurrent Assets
Cash and bank deposit
Operating accounts receivable
Prepaid expenses
Consumption taxes receivable
Other current assets
Total current assets
Fixed Assets
Property and equipment
Structures
Accumulated depreciation
Structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment ,net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Total property and equipment
Intangible assets
Leasehold rights
SoftwareTotal intangible assets
Investments and other assets
Long-term prepaid expenses
Deferred tax assets
Long term deposits
Guarantee deposits
Total investment and other assets
Total fixed assets
Deferred Assets
Investment corporation bond issuance cost
Total deferred assets
Total assets
Liabilities
Current liabilities
Operating Accounts payable
Accounts payable – operating
Current portion of long-term loans payable
Accounts payable – otherAccrued expenses
Income taxes payable
Consumption tax payable
Deposits received
Total current liabilities
Non-current liabilities
Investment corporation bondLong-term loan payable
Total non-current liabilities
Total liabilities
Net assets
Unitholders' equity
Unit holders’ capital
Deduction from unitholders’ capital
Unitholders’ capital (net value)
Surplus
Unappropriated retained earnings(Accumulated deficit)
13

5th Period(December 31, 2019)

2,466,624
426,756
71,805215
2,965,401

2,474,056
268,927
157,523
329,815860
3,231,182

835,726
45,417)790,308
38,610,034
2,191,437)
36,418,597
521,176(32,570)
488,605
4,466,771
42,164,283

1,040,844(63,543)
977,300
42,726,985(3,002,153)
39,724,832
592,249(43,368)
548,8814,469,653
45,720,667

512,4112,746
515,158

753,1392,353
755,492

307,42412
7,800
21,021
336,258
43,015,700

316,11912
37,790353,92246,830,082

45,981,101

8,536
8,536
50,069,801

26,344
1,286,149
83,003112,673868
49,9041,750
1,560,694

32,9881,512,196
67,471102,033
860
8,317
1,562
1,725,429

22,227,007
22,227,007
23,787,702

1,100,000
25,360,810
26,460,810
28,186,239

22,050,175(567,281)
21,482,893

22,050,175(700,678)
21,349,496

710,506

534,065

Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets*1

14710,506
22,193,399
22,193,399
45,981,101*1534,065
21,883,561
21,883,561
50,069,801

（２）Statement of Income(Unit: thousand yen)
4th period(from January 1, 2019
to June 30, 2019)
Operating revenues
Rental revenues of renewable energy power generation
facilities, etc.
Total operating revenues
Operating expenses
Rental expenses of renewable energy power generation
facilities, etc.
Asset management fee
Administrative service fees
Director’s compensation
Taxes and duties
Other operating expenses
Total operating expenses
Operating income or loss
Non-operating incomesInterest income
Insurance income
Interest on refund
Total non-operating income
Non-operating expenses
Interest expenses
Interest on investment corporation bondAmortization of Investment corporation bond issuance
cost
Borrowing-related expenses
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes - current
Income tax - deferred
Total income taxes
Net income
Retained earnings (deficit) brought forward
Unappropriated retained earnings (Accumulated deficit)*1

5th period(from July 1, 2019
to December 31, 2019)

2,185,392*1

2,185,392*1- 15 -

1,234,114

2,088,116
2,088,116*1

1,261,805

55,97918,9452,400
399
56,352
1,368,191
817,201

52,213
18,5422,400
772
55,412
1,391,146
696,970

15
27,146
1,355
28,51713
13

106,345-

107,285
1,176

-

263

28,083
134,428
711,290711,290870
0870
710,41986
710,506

53,389162,115534,868
534,868862
0
862
534,005
59
534,065

（３）【Statements of Changes in Unitholders’ Equity】
4th Fiscal Period (From January 1, 2019 to June 30, 2019)（Unit: thousand yen）
Unitholders’ equity
Unitholders’ capital
Deduction
fromUnitholders’unitholders’ capital(net)capitalUnitholders’capitalBalance as of January 1,
2019

SurplusCapitalsurplus or
loss

Total surplus

Totalunitholders’equityTotal net
assets

22,050,175(147,209)

21,902,965

412,298

412,298

22,315,263

22,315,263

Distribution in excessof earnings-(420,072)(420,072)--(420,072)(420,072)

Dividend of surplus

-

-

-

(412,211)(412,211)(412,211)(412,211)Net Income

-

-

-

710,419

710,419

710,419

710,419-(420,072)(420,072)

298,208

298,208(121,864)(121,864)

22,050,175(567,281)

21,482,893

710,506

710,506

22,193,399

22,193,399

Changes of items during
the period

Total changes of items
during the period
Balance as of June 30,
2019

*1

5th Fiscal Period (From July 1, 2019 to December 31, 2019)（Unit: thousand yen）
Unitholders’ equity
Unitholders’ capital
Deduction
Unitholders’fromunitholders’ capital(net)capitalUnitholders’capitalBalance as of July 1,
2019

SurplusCapitalsurplus or
loss

Total surplus

Totalunitholders’equityTotal net
assets

22,050,175(567,281)

21,482,893

710,506

710,506

22,193,399

22,193,399

Distribution in excessof earnings-(133,396)(133,396)--(133,396)

133,396)

Dividend of surplus

-

-

-

(710,446)(710,446)(710,446)(710,446)

Net Income

-

-

-

534,005

534,005

534,005

534,005-(133,396)(133,396)(176,441)(176,441)

309,837)(309,837)※1 22,050,175(700,678)

21,349,496

534,065534,065

21,883,561

21,883,561

Changes of items during
the period

Total changes of items
during the period
Balance as of December
31, 2019- 16 -

（４）Statements of Cash Distribution
Fiscal Period under Review(From January 1, 2019
to June 30, 2019)
710,506,353

I Unappropriated retained earnings(accumulated deficit)
II Distributions in excess of retained earnings
Deduction from unitholders’ capital
III Cash distributions(Cash distributions per unit)
Profit distributions(Profit distributions per unit)
Distributions in excess of retained
earnings(Distributions in excess of retained
earnings)
IV. Retained earnings (deficit) carried forward
Calculation method for cash distributions

133,396,630

309,794,600

843,843,500(3,650)710,446,870(3,073)
133,396,630

843,843,500(3,650)534,048,900(2,310)309,794,600(577)
59,483(1,340)16,262

In accordance with Articles 47,
In accordance with Articles 47,
Paragraph 1 of Canadian Solar Paragraph 1 of Canadian Solar
Infrastructure Fund, Inc. (“CSIF’) s Infrastructure Fund, Inc. (“CSIF’) s
Articles of Incorporation, the amount of Articles of Incorporation, the amount ofcash distributions shall be the amount of cash distributions shall be the amount of
profit in excess of an amount equivalent profit in excess of an amount equivalent
to 90% of distributable profits, as to 90% of distributable profits, as
stipulated in Article 67-15 of the Act on stipulated in Article 67-15 of the Act on
Special Measures Concerning Taxation. Special Measures Concerning Taxation.
Based on this policy, CSIF decided to Based on this policy, CSIF decided tomake distributions of ¥710,506,353 make distributions of ¥534,065,162
which is the entire amount equivalent to which is the entire amount equivalent tothe unappropriated retained earnings for the unappropriated retained earnings forthe fiscal period under review of the fiscal period under review of¥710,446,870 excluding fractions of the ¥534,048,900 excluding fractions of the
distribution per unit that are less than ¥1. distribution per unit that are less than ¥1.
CSIF distributes cash in excess of
CSIF distributes cash in excess ofretained earnings every fiscal period retained earnings every fiscal period
based on the cash distribution policy based on the cash distribution policy
prescribed in Article 47, Paragraph 2 of prescribed in Article 47, Paragraph 2 of
CSIF’s Articles of Incorporation. Based CSIF’s Articles of Incorporation. Basedon this policy, CSIF decided to make cash on this policy, CSIF decided to make cash
distributions in excess of earnings (return distributions in excess of earnings (returnof capital categorized as a distribution of of capital categorized as a distribution of
the reduction in capital for Japanese tax the reduction in capital for Japanese tax
purposes) in the amount of ¥133,396,630 purposes) in the amount of ¥309,794,600
which is equivalent to 16.4% of the which is equivalent to 36.9% of theamount of depreciation expenses amount of depreciation expenses
recorded for the fiscal period under recorded for the fiscal period underreview of ¥840,031,795.
review of ¥813,434,738.
Accordingly, the distribution per unit
Accordingly, the distribution per unitis ¥3,650.

is ¥3,650.
(Note)

Fiscal Period under Review(From July 1, 2019
to December 31, 2019)
Unit: Yen
534,065,162

Distributions in excess of retained earnings per unit will generally be based on the cash distribution policy prescribed in
CSIF’s Articles of Incorporation and the Asset Manager’s asset management guideline.
CSIF intends to make cash distributions of NCF within the FCF generated from the renewable energy power generation
facilities. The amount available for distribution shall be calculated by multiplying NCF by the payout ratio.
- 17 -

Further, CSIF intends to make distributions in excess of retained earnings for each fiscal period in order to realize suchpolicy.
CSIF’s forecasts (including revised forecasts) for each fiscal period are based on the assumption of the Forecast Power
Generation (P50) provided in the independent technical report which is used as a basis for calculating rents for renewableenergy power generation facilities and if actual NCF calculated based on actual power generation during the applicablefiscal period exceeds forecast NCF, CSIF’s policy is to set “forecast NCF multiplied by the payout ratio” as the upper limitof the amount of cash distributions for the applicable fiscal period.
.
On the other hand, if actual NCF is less than forecast NCF, CSIF’s policy is to set “actual NCF multiplied by the payout
ratio” as the amount of cash distributions for the applicable fiscal period.
Based on this policy, CSIF decided to make distributions for the previous fiscal period of ¥843,843,500 which is equivalent
to 48.0% of forecast NCF amount for the fiscal period under review of ¥1,758,007,291. Of this, ¥133,396,630 which is theamount less of distributions of profit of ¥710,446,870 is distributions in excess of retained earnings.
Based on this policy, CSIF decided to make distributions for the current fiscal period of ¥843,843,500 which is equivalent
to 82.0% of forecast NCF amount for the fiscal period under review of ¥1,029,345,000. Of this, ¥309,794,600 which is theamount less of distributions of profit of ¥534,048,900 is distributions in excess of retained earnings.

- 18 -

（５）Statement of Cash Flow（unit: thousand yen）
5th period(From July 1, 2019
to December 31, 2019)

4th period(From January 1, 2019
to June 30, 2019)
Cash flows from operating activities
Income (Loss) before income taxes
Depreciation cost
Investment corporation bond issuance expenses
Interest income
Interest expenses
Decrease (Increase) in operating accounts receivable
Decrease (Increase) in consumption taxes receivable
Decrease (Increase) in consumption taxes payable
Decrease (Increase) in prepaid expenses
Decrease (Increase) in long-term prepaid expenses
Increase (Decrease) in operating accounts payable
Increase (Decrease) in accounts payable - other
Increase (Decrease) in accrued expenses
Other, net
Sub-totalInterest received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchases of property and equipment
Purchases of intangible fixed assets
Payment of guarantee deposits
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds from issuance of investment corporation
bond
Payments for investment corporation bond issuance
expensesDividends paid
Surplus earning distribution paid
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the fiscal
periodCash and cash equivalents at the end of the fiscal period*1- 19 -

711,290
813,434(15)
106,345(217,843)
793,148
49,90435,90917,075
1,053
26,686
39,839(3,024)
2,373,805
15(106,961)(859)
2,265,998

534,868
840,031263△13108,461
157,829(329,815)(41,587)
85,718)
8,695)
6,644
15,532)
11,331)(833)
1,154,572
13
107,769)(870)
1,045,945(1,387,663)(18,294)(1,405,958)

4,396,022)(240,727)
16,769)4,653,519)

700,000(1,483,938)

4,800,000
1,440,151)-

1,100,000-(8,800)(412,211)(420,072)(1,616,222)(756,182)

710,446)
133,396)
3,607,205
368)

3,222,807

2,466,624

2,466,624*1

2,466,256

(6)NOTES ON GOING CONCERN PREMISE
Not applicable.
(7) [SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES]
1.Method of depreciation andamortization of non-current assets(1) Property and equipment
The straight-line method is adopted. In addition, the useful lives of major property andequipment are as shown below:
Structures .......................................... 22 - 25 years
Machinery and equipment ................. 22 - 25 years
Tools, furniture and fixtures .............. 22 - 25 years(2) Intangible assets
The straight-line method is adopted. In addition, the useful life is as shown below:
Software ............................................ 5 years(3) Long-term prepaid expenses
The straight-line method is adopted.

2. Method of amortization of deferred (1) Investment corporation bond issuance expenses
Amortized by the straight-line method over the life of the bonds.
assets3.Standards for revenue and expense
recognition

Accounting for fixed assets tax
With respect to fixed assets tax, city planning tax and depreciable assets tax, among
other taxes, on the infrastructure assets held, of the tax amount assessed and determined,
the amount corresponding to the calculation period is accounted as rental expenses. In
addition, reimbursement such as fixed assets tax, which is paid to the seller and otherpersons on the acquisition of infrastructure assets and other assets (“the amount equivalent
to the fixed assets taxes and other taxes”) is not recognized as rental expenses but includedin the acquisition cost of the concerned infrastructure assets and other assets. In the fiscal
period under review, the amount equivalent to the fixed assets tax and other taxes includedin the acquisition cost of infrastructure assets and other assets is 504 thousand yen.

4.Scope of funds in statement of cash
flows

Funds (cash and cash equivalents) in statement of cash flows consist of cash on hand,demand deposits and short-term investments with a maturity of three months or less at thedate of acquisition that can readily be converted into cash and that are subject toinsignificant risks of changes in value.

5.Method of hedge accounting

6.Other significant matters serving as
the basis for preparation of financial
statements(1) Method of hedge accounting
Special treatment is adopted for the interest rate swap that meets the requirements for
special treatment.
(2) Hedging instruments and hedged items:･Hedging instruments……Interest rate swap transaction･Hedged items….Interest rate on loans(3) Policy for hedging
CSIF conducts derivative transactions to hedge risks as set forth in the CSIF’s Articles ofIncorporation according to the rules for risk management.
(4) Method of evaluation of effectiveness of hedging
The interest rate swap meets the requirements for special treatment, and thus theevaluation of effectiveness is omitted.
Accounting for Consumption tax
Consumption tax and local consumption tax are excluded from the correspondingtransaction amount.

- 20 -

(8) Notes regarding financial statements[NOTES TO BALANCE SHEET]*1 Minimum net assets stipulated in Article 67, Paragraph 4 of the Act on Investment Trusts and Investment Corporations(Unit: thousand yen)
As ofDecember 31, 2019

As ofJune 30, 201950,00050,000[NOTES TO STATEMENT OF INCOME]*1 Breakdown of profits and losses from the rental business of renewable energy power
generation facilities, etc.
(Unit: thousand yen)
From January 1, 2019 toJune 30, 2019

From July 1, 2019 to
December 31, 2019

A. Operating revenue from the rental business of renewable energy power generation facilities, etc.
Rental revenue of renewable energy power generation
facilities, etc.
(Basic rent)(Variable rent linked to actual output)(Incidental income)
Total operating revenue from the rental business ofrenewable energy power generation facilities, etc.

1,478,843

1,567,010

706,346

520,930202

176

2,185,392

2,088,116

B. Operating expenses from the rental business of renewable energy power generation facilities, etc.
Rental expenses of renewable energy power generation
facilities, etc.
(Management entrustment expenses)

144,616

146,524

8,560

1,768

(Taxes and duties)

217,138

217,112(Utilities expenses)--(Insurance expenses)

17,023

19,571(Depreciation expenses)

813,047

839,638(Land rent)

33,727

37,190--Total operating expenses from the rental business ofrenewable energy power generation facilities, etc.

1,234,114

1,261,805

C. Profits and losses from the rental business of renewable energy
power generation facilities, etc. （A-B）

951,278

826,311(Repair and maintenance costs)(Other rental expenses)- 21 -

[NOTES TO STATEMENT OF CHANGES IN NET ASSETS]*1 Total number of authorized investment units and the total number of investment units issued and outstanding
From January 1, 2019 toJune 30, 2019

From July 1, 2019 to
December 31, 2019

Total number of authorized investment
units

10,000,000 unit

10,000,000 unit

Total number of investment units issued
and outstanding

231,190 unit

231,190 unit

[NOTES TO STATEMENT OF CASH FLOWS]*1 Relationship between the ending balance of cash and cash equivalents and the amounts on the balance sheet(Unit: thousand yen)
From January 1, 2019 toJune 30, 2019

Cash and deposits

2,466,624

2,474,056-(7,800)2,466,624

2,466,256

Fixed term deposits exceeding 3 months
Cash and cash equivalents

From July 1, 2019 to
December 31, 2019

[NOTES ON LEASE TRANSACTIONS]
Operating lease (as the lessor)
Future minimum lease payments(Unit: thousand yen)
Fiscal period ended

Fiscal period ended

June 30, 2019

December 31, 2019

Within one year

3,039,681

3,329,182

Longer than one year

48,276,834

51,816,828

Total

51,316,516

55,146,011[NOTES ON FINANCIAL INSTRUMENTS]
1.Situation of financial instruments(1) Policy for financial instruments
CSIF procures funds for acquiring new assets or repaying loans through loans from financial institutions or issuing investment
units. The basic policy is to build stable and sound financial operations to maintain and increase earnings in the medium to longterm and grow the size and value of assets.
(2) Details of the financial instruments and their risks and the risk management system
Long-term loans payables are one of the means to procure the funds for the acquisition of managed assets and are exposed
to interest rate fluctuation risk and liquidity risk, among other risks. However, this risk is deducted through the appropriatebalancing of the loan period and the interest rate type, and diversification of lenders, and the appropriate management ofvarious types of indexes, especially the general application of the upper limit of the ratio of interest-bearing, which is 60%.
(3) Supplementary explanation on fair value of financial instruments
The fair values of financial instruments are values based on market prices, or if there are no market prices, values arereasonably calculated. Since certain assumptions are used for the calculation of fair values, they may change if different
assumptions are used.

- 22 -

2. Matters relating to fair values of financial instruments
The table below shows the book value and fair values of financial instruments as of June 30, 2019 and the difference
between them. Financial instruments whose fair values are extremely difficult to estimate are not included in the table.
(Unit: thousand yen)Book value(1) Cash and deposits

Fair value

Difference

2,466,624

2,466,624-

426,756

426,756

-

7,800

7,800

-

Total assets

2,901,181

2,901,181-(4) Current portion of long-term loans
payable1,286,149

1,287,698

1,548(5) Long-term loans payable

22,227,007

22,491,852

264,844

Total liabilities

23,513,157

23,779,551

266,393(6) Derivative transaction

-

-

-

(2) Operating accounts receivable(3) Long-term deposits(Note 1) Methods used for estimating the fair values of financial instruments and matters related to derivative transactions
Assets(1) Cash and deposits (2) Operating accounts receivable
These financial instruments are settled in the short term, and their fair values are deemed to approximate their book value.
Therefore, the book values are used as the values.
(3) Long-term deposits
This financial instrument refers to time deposits. With no significant difference between the expected interest rate for a new
deposit and a contractual interest rate, their fair values are very close to their book values. Therefore, the book values are used.
Liabilities(4) Current portion of long-term loans payable (5) Long-term loans payable
With respect to long-term loans payable at variable interest rates, the condition that the interest rates are renewed every certain
period is applied to loans, and thus the market value is considered to be close to the book value. Accordingly, the book value
is used. In addition, for the long-term loans payable at variable interest rates subject to the special treatment of interest rate
swap (refer to the “Notes on derivative transactions” below), the fair value is measured by discounting the total sum of theprincipal and interest treated together with the said interest rate swap as one at the interest rate that is applied when the similarloan is obtained and that is reasonably estimated.
(6) Derivative transaction
Please refer to the “Notes on derivative transactions” below.
The table below shows the book value and fair values of financial instruments as of December 31, 2019, and the difference
between them. Financial instruments whose fair values are extremely difficult to estimate are not included in the table.
(Unit: thousand yen)Book value(1) Cash and deposits

Fair value

Difference

2,474,056

2,474,056-

268,927

268,927-

Total assets

2,742,983

2,742,983-(3) Current portion of long-term loans
payable1,512,196

1,513,923

1,726(4) Long-term loans payable

25,360,810

25,651,566

290,756(5) Investment corporation bond

1,100,000

1,100,000-

Total liabilities

27,973,006

28,265,489

292,482(6) Derivative transaction

-

-

-

(2) Operating accounts receivable(Note 1) Methods used for estimating the fair values of financial instruments and matters related to derivative transactions- 23 -

Assets(1) Cash and deposits (2) Operating accounts receivable
These financial instruments are settled in the short term, and their fair values are deemed to approximate their book value.
Therefore, the book values are used as the values.
(3) Current portion of long-term loans payable (4) Long-term loans payable
With respect to long-term loans payable at variable interest rates, the condition that the interest rates are renewed every certain
period is applied to loans, and thus the market value is considered to be close to the book value. Accordingly, the book value
is used. In addition, for the long-term loans payable at variable interest rates subject to the special treatment of interest rate
swap (refer to the “Notes on derivative transactions” below), the fair value is measured by discounting the total sum of theprincipal and interest treated together with the said interest rate swap as one at the interest rate that is applied when the similarloan is obtained and that is reasonably estimated.
(5) Investment Corporation Bond
The fair value of investment corporation bonds is determined based on market prices(6) Derivative transaction
Please refer to the “Notes on derivative transactions” below.

(Note 2) Scheduled redemption amounts of monetary receivables after the closing date (June 30, 2019)

Within one
year(1) Cash and deposits(2) Operating accounts receivable(3) Long-term deposits
Total(Unit: thousand yen)
Longer than Longer than Longer than Longer than
one year,
two years, three years, four years, Longer than
within two within three within four within five
five years
years
years
years
years

2,466,624

-

-

-

-

-

426,756

-

-

-

-

-

-

7,800

-

-

-

-

2,893,381

7,800

-

-

-

-

Scheduled redemption amounts of monetary receivables after the closing date (December 31, 2019)(Unit: thousand yen)
Longer than Longer than Longer than Longer thanWithin one
one year,
two years, three years, four years, Longer thanyear
within two within three within four within five
five years
years
years
years
years
(1) Cash and deposits

2,474,056

-

-

-

-

-

(2) Operating accounts receivable

268,927

-

-

-

-

-

Total

2,742,983

-

-

-

-

-

(Note 3) Scheduled redemption amount of loans payables after the closing date (June 30, 2019)

Within one
year(4) Current portion of long-termloans payable(5) Long-term loans payable
合計(Unit: thousand yen)
Longer than Longer than Longer than Longer than
two years, three years, four years, Longer than
one year,five years
within two within three within four within five
years
years
years
years

1,286,149

-

-

-

-

-

-

2,053,702

1,862,492

1,286,533

1,285,273

15,739,005

1,286,149

2,053,702

1,862,492

1,286,533

1,285,273

15,739,005

Scheduled redemption amount of loans payables after the closing date (June 30, 2018)

Within one
year(4) Current portion of long-termloans payable

1,512,196(Unit: thousand yen)
Longer than Longer than Longer than Longer than
two years, three years, four years, Longer than
one year,five years
within two within three within four within five
years
years
years
years
-

- 24 -----

(5) Long-term loans payable-

5,836,435

1,860,238

1,292,889

1,254,936

15,116,310(6) Investment corporation bond

-

-

-

-

1,100,000-

1,512,196

5,836,435

1,860,238

1,292,889

2,354,936

15,116,310

Total[NOTES ON SECURITIES]
Prior fiscal period (as of June 30, 2019)
Not applicable.
Current fiscal period (as of December 31, 2019)
Not applicable.
[NOTES ON DERIVATIVE TRANSACTIONS]
1. Those to which hedge accounting is not applied
Prior fiscal period (as of June 30, 2019) and current fiscal period (as of December 31, 2019)
Not applicable.
2. Those to which hedge accounting is applied
Prior fiscal period (as of June 30, 2019)(Unit: thousand yen)
Method ofhedge
accounting

Type of derivativetransactions and othermatters

Major
items
hedgedSpecialtreatment ofinterest rate
swap

Interest rate swap
transaction
Fixed
payment/variable
receipt

LongtermloanspayableContract amount and other amounts
Longer than one
year

22,012,204

20,811,569

Fair value

Method ofcalculation ofsaid market
value(Note)-(Note) Those that are subject to special treatment of interest rate swap are treated together with the current portion of long-term loans payable
and the long-term loans payable to be hedged as one, and thus their fair value is presented together with the fair value of (Note 1) (3) Current
portion of long-term loans payable and (4) Long-term loans payable in “Notes on financial instruments 2.Matters relating to fair values offinancial instruments, among other matters” .

Current fiscal period (as of December 31, 2019)(Unit: thousand yen)
Method ofhedge
accounting

Type of derivativetransactions and othermatters

Major
items
hedgedSpecialtreatment ofinterest rate
swap

Interest rate swap
transaction
Fixed
payment/variable
receipt

LongtermloanspayableFair value

Method ofcalculation ofsaid market
value(Note)-

Contract amount and other amounts
Longer than one
year

21,411,430

20,187,606(Note) Those that are subject to special treatment of interest rate swap are treated together with the current portion of long-term loans payable
and the long-term loans payable to be hedged as one, and thus their fair value is presented together with the fair value of (Note 1) (4) Current
portion of long-term loans payable and (5) Long-term loans payable in “Notes on financial instruments 2.Matters relating to fair values offinancial instruments, among other matters”[NOTES ON RETIREMENT BENEFITS]
Prior fiscal period (as of June 30, 2019)
Not applicable.
- 25 -

Current fiscal period (as of December 31, 2019)
Not applicable.
[NOTES ON TAX EFFECT ACCOUNTING]
1. Breakdown of deferred tax assets and deferred tax liabilities by major cause(Unit: thousand yen)
Fiscal period ended
June 30, 2019

Fiscal period ended
December 31, 2019

Accrued business tax not deductible from taxable
income1212Total deferred tax assets

12

12

Net amount of deferred tax assets

1212

2. Breakdown of each major item that causes a significant difference between the effective statutory tax rate and the rate of
the burden of corporate tax and other taxes after the application of tax effect accounting
Fiscal period ended
June 30, 2019
Effective statutory tax rate

Fiscal period ended
December 31, 201931.51%

31.51%

31.47)%

31.46)%--

Others

0.08%

0.11%

Rate of burden of corporate tax and other taxes after
the application of tax effect accounting

0.12%

0.16%

(Adjustment)
Dividends paid deductible for tax purpose
Loss carried forward and deducted for the period[NOTES ON SHARE OF PROFIT (LOSS) OF ENTITIES ACCOUNTED FOR USING EQUITY METHOD, ETC.]
Prior fiscal period (as of June 30, 2019)
Not applicable.
Current fiscal period (as of December 31, 2019)
Not applicable.
[NOTES ON RELATED PARTY TRANSACTIONS]
Prior fiscal period (from January 1, 2019 to June 30, 2019)
Not applicable.
Current fiscal period (from July 1, 2019 to December 31, 2019)
Not applicable.
[NOTES ON ASSET RETIREMENT OBLIGATIONS]
Prior fiscal period (from January 1, 2019 to June 30, 2019)
Not applicable.
Current fiscal period (from July 1, 2019 to December 31, 2019)
Not applicable.

- 26 -

[NOTES ON INVESTMENT AND RENTAL PROPERTY]CSIF has renewable energy power generation facilities, etc. The book value, change during the period and fair value at theend of the period are as shown below.
(Unit: thousand yen)
Fiscal period ended
June 30, 2019

Fiscal period ended
December 31, 2019

Book value (Note 2)
42,077,910

42,676,695

598,784

3,797,111

Ending balance

42,676,695

46,473,806

Fair value at the end of the period(Note 4)50,026,000

51,498,500

Beginning balance
Change during the period(Note 3)(Note 1) The real estate that CSIF holds is real estate to be provided for the use of renewable energy power generation facilities, and thus with respect to thebook value and the fair value, the amount of the renewable energy power generation facilities and real estate are stated together as one.
(Note 2) The book value is the amount at acquisition cost less the accumulated depreciation.
(Note 3) The change during the period ended June 30, 2019 primarily consisted of the increase due to acquisition of two photovoltaic power generation facilities(1,357,292 thousand yen), and the decrease due to depreciation expenses (813,047 thousand yen). And the change during the period ended December
31, 2019 primarily consisted of the increase due to acquisition of one photovoltaic power generation facilities (4,629,532 thousand yen), and thedecrease due to depreciation expenses (839,638 thousand yen).
(Note 4) The fair value is the total sum of the intermediate values according to Article 41, paragraph 1 of the CSIF's Articles of Incorporation on the basis of
the appraised value in the range stated in the valuation report with the date of the value opinion on June 30, 2019 and December 31, 2019, which was
obtained from PricewaterhouseCoopers Sustainability LLC or Ernst & Young Transaction Advisory Services Co., Ltd..

In addition, profits and losses from the renewable energy power generation facilities, etc. for the fiscal period ended June 30,
2019 (the 4th period) and the fiscal period ended December 31, 2019 (the 5th period) are as stated in the “Notes to statement ofincome” above.
[NOTES ON SEGMENT INFORMATION]
1.Segment information
Since CSIF has a single segment of the rental business of infrastructure assets, the segment information is omitted.
2.Related Information
Prior fiscal period (from January 1, 2019 to June 30, 2019)(1) Information on products and services
Information is omitted because operating revenue from a single product/service to outside customers exceeds 90% of
the operating revenue on the statement of income.
(2) Information on regions① Operating revenue
Information is omitted because operating revenue from outside customers in Japan exceeds 90% of the operating revenue
on the statement of income.
② Property and equipment
Information is omitted because the amount of property and equipment located in Japan exceeds 90% of the amount ofproperty and equipment on the balance sheet.

- 27 -

(3) Information on major customers（unit: thousand yen）
Name of customer

Total net revenue

Name of related segment

2,038,531

Renewable energy power generation
facilities, etc. rental business

CLEAN ENERGIES XXI G.K.

99,893

Renewable energy power generation
facilities, etc. rental business

Univergy 01 G.K.

17,006

Renewable energy power generation
facilities, etc. rental business

CLEAN ENERGIES SOLUTIONS
K.K.

29,758Renewable energy power generation
facilities, etc. rental businessTida Power 01 G.K.

Current fiscal period (from July 1, 2019 to December 31, 2019)(1) Information on products and services
Information is omitted because operating revenue from a single product/service to outside customers exceeds 90%of the operating revenue on the statement of income.
(2) Information on regions① Operating revenue
Information is omitted because operating revenue from outside customers in Japan exceeds 90% of the operating
revenue on the statement of income.
② Property and equipment
Information is omitted because the amount of property and equipment located in Japan exceeds 90% of the amountof property and equipment on the balance sheet.
(3) Information on major customers（unit: thousand yen）
Name of customer

Total net revenue

Tida Power 01 G.K.

CLEAN ENERGIES WORLD K.K.

Name of related segment

2,061,357

Renewable energy power generation
facilities, etc. rental business

26,582

Renewable energy power generation
facilities, etc. rental business[NOTES ON PER UNIT INFORMATION]
Prior fiscal period
From January 1,2019
to June 30, 2019
Net assets per unit
Net income (Net loss) per unit

Current fiscal period
From July 1, 2019
December 31, 2019

95,996 yen
3,072 yen

94,656 yen
2,309 yen

(Note 1) Net income (Net loss) per unit is calculated by dividing net income (net loss) by the average number of investment units during the period. In theprevious fiscal period, a loss was posted and there were no dilutive investment units, and thus diluted loss per unit is not stated. With respect todiluted profit per unit for the period under review, there are no dilutive investment units, and thus the statement is omitted.
(Note 2) The basis of calculation of net income (net loss) per unit is as follows.

Prior fiscal period
From January 1,2019
to June 30, 2019
Net income (Net loss) (Thousand yen)

710,419- 28 -

Current fiscal period
From July 1, 2019
December 31, 2019
534,005

Amount not attributable to common unit holders(Thousand yen)
Net income (Net loss) attributable to Common unit
holders (Thousand yen)
Average number of investment units during the period(Units)--710,419534,005

231,190

231,190[NOTES ON FACTS ARISING AFTER THE SETTLEMENT OF ACCOUNTS]
Not applicable(10) Change in the total number of investment units issued and outstanding
Change in the total number of investment units issued and outstanding and the total amount of unitholders' capital is as shown
below since the establishment of the CSIF.

Date

Event

Total number of investment units
issued and outstanding (units)
ChangeMay 18, 2017

Establishment upon
private placement

Balance

Total amount of unitholders'
capital (Note 1) (million yen)
ChangeRemarks

Balance

1,500

1,500

150

150

(Note 2)October 27, 2017

Capital increase by
public offering

177,800

179,300

16,891

17,041(Note 3)

November 28, 2017

Capital increase by
third-party
allotment

2,890

182,190274

17,315(Note 4)September 5, 2018

Capital increase by
public offering

46,667

228,857

4,509

21,824(Note 5)

Cash distribution inexcess of earnings
September 14, 2018(refund ofinvestment)-

228,857

147)

21,677(Note 6)

October 4, 2018

Capital increase by
third-party
allotment

2,333

231,190

225

21,902(Note 7)

March 14, 2019

Cash distribution inexcess of earnings(refund ofinvestment)-

231,190(420)

21,482(Note 8)Cash distribution inexcess of earnings
September 17, 2019(refund ofinvestment)-

231,190(133)

21,349(Note 9)(Note 1) The amount of deduction of total amount of unitholders’ capital is deducted.
(Note 2) In the establishment of the CSIF, the investment units were issued at an issue price of ¥100,000 per unit. The party who applied for subscriptionof investment units upon the establishment is Canadian Solar Projects K.K.
(Note 3) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of¥100,000 (issue value of ¥95,000) per unit.
(Note 4) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue value of ¥95,000 per unit for the purpose of
appropriation to a part of the funds for acquisition of specified assets or part of repayment of borrowings.
(Note 5) New investment units were issued by public offering for the purpose of raising funds for the acquisition of specified assets at an issue price of¥102,180 (issue value of ¥96,625) per unit.
(Note 6) CSIF decided, at a meeting of its Board of Directors held on August 14, 2018, to pay a cash distribution in excess of earnings (refund of investment)in an amount of ¥808 per unit for the second fiscal period (ended June 30, 2018), and began to pay it from September 14, 2018.
(Note 7) New investment units were issued to Mizuho Securities Co., Ltd. by third-party allotment at an issue price of ¥96,625 per unit for the purpose of
appropriation to a part of the funds for acquisition of specified assets or a part of the funds for repayment of borrowings.

- 29 -

(Note 8) CSIF decided, at a meeting of its Board of Directors held on February 15, 2019, to pay a cash distribution in excess of earnings (refund ofinvestment) in an amount of ¥1,817 per unit for the third fiscal period (ended December 31, 2018), and began to pay it from March 14, 2019.
(Note 9) CSIF decided, at a meeting of its Board of Directors held on August 13, 2019, to pay a cash distribution in excess of earnings (refund of investment)in an amount of ¥577 per unit for the fourth fiscal period (ended June 30, 2019), and began to pay it from September 14, 2019.

4. Reference(1) Conditions of Investment(as of December 31, 2019)
Type of asset

Total Asset-UnderManagement (AUM)(‘000yen) (Note 2)

Region (Note 1)% of total AUM(Note 3)

Hokkaido/Tohoku

1,019,428

2.0

Kanto

2,405,428

4.8

Tokai

5,761,989

11.5

Chugoku/Shikoku

10,257,651

20.5

Kyushu21,806,516

43.6

41,251,014

82.4

Hokkaido/Tohoku

48,9700.1

Kanto

648,591

1.3

Tokai

63,3090.1

Chugoku/Shikoku

523,905

1.0

3,184,875

6.4

4,469,653

8.9

Hokkaido/Tohoku

17,9240.0

Kanto

59,1970.1

Tokai282,151

0.6

3,415

0.0

390,4500.8

753,139

1.5

Hokkaido/Tohoku

1,086,322

2.2

Kanto

3,113,218

6.2

Tokai

6,107,450

12.2

Chugoku/Shikoku

10,784,972

21.5

Kyushu25,381,842

50.7

46,473,806

92.8

Solar energy facility etc. total

46,473,806

92.8

Saving/other assets

3,595,994

7.2

Asset total (2)50,069,801

100.0

Solar energy facility

Subtotal

Land

KyushuSubtotal

Land lease

Chugoku/Shikoku
KyushuSubtotal

Solar energy facility etc.

Subtotal- 30 -

(Unit: thousand yen)

% of total AUM(Note 3)

Total liabilities

28,186,239

56.3

Total net assets

21,883,561

43.7(Note 1) “Hokkaido and Tohoku” denote Hokkaido, Aomori-ken, Iwate-ken, Akita-ken, Miyagi-ken, Fukushima-ken and Yamagata-ken. “Kanto” denotes
Ibaraki-ken, Tochigi-ken, Gunma-ken, Tokyo-to, Kanagawa-ken, Saitama-ken, Chiba-ken Yamanashi-ken, Nagano-ken and Niigata-ken. “Tokai”
denotes Shizuoka-ken, Aichi-ken, Gifu-ken, Mie-ken, Toyama-ken, Ishikawa-ken and Fukui-ken. “Chugoku and Shikoku” denote Okayama-ken,
Hiroshima-ken, Yamaguchi-ken, Tottori-ken, Shimane-ken, Kagawa-ken, Kochi-ken, Tokushima-ken and Ehime-ken. “Kyushu” denotes
Fukuoka-ken, Oita-ken, Miyazaki-ken, Kagoshima-ken, Kumamoto-ken, Nagasaki-ken, Saga-ken and Okinawa-ken.
(Note 2) The amount posted on the balance sheet as of December 31, 2019.
(Note 3) The figures have been rounded to the first decimal place.

(2) Investment Assets①Investment Securities
Not Applicable②Investment Properties
Not Applicable③Major Investment Assets
a. summary information for the CSIF
The following table provides summary information for the CSIF current 21 solar energy projects as of December 31, 2019.
PPA purchaseprice(yen/kwh)

Certification
Date

FIT term end

19,86140

February 26,
2013

September
16, 2034

Isa-shi, Kagoshima

22,22340

February 26,
2013

June 8, 2035

CS Kasama-shi
Power Plant

Kasama-shi, Ibaraki

42,666(Note 1)40

January 25,
2013

June 25, 2035

Solar Plant
etc.

CS Isa-shi Daini Power Plant

Isa-shi, Kagoshima

31,81836

October 2,
2013

June 28, 2035

S-05

Solar Plant
etc.

CS Yusui-cho
Power Plant

Aira-gun,Kagoshima

25,27436

March 14,2014

August 20,
2035

S-06

Solar Plant
etc.

CS Isa-shi Daisan Power Plant

Isa-shi, Kagoshima

40,73640

February 26,
2013

September
15, 2035

S-07

Solar Plant
etc.

CS Kasama-shi
Dai-ni Power
Plant

Kasama-shi, Ibaraki

53,27540

January 25,
2013

September23, 2035

S-08

Solar Plant
etc.

CS Hiji-machi
Power Plant

Hayami-gun, Oita

30,24636

July 16, 2013

October 12,
2035

S-09

Solar Plant
etc.

CS Ashikitamachi Power
Plant

Ashikita-gun,
Kumamoto

45,74040

February 26,
2013

December 10,
2035

Asset #

Category

Project name

S-01

Solar Plant
etc.

CS Shibushi-shi
Power Plant

Shibushi-shi,
Kagoshima

S-02

Solar Plant
etc.

CS Isa-shi
Power Plant

S-03

Solar Plant
etc.

S-04

Site Area(m2)

Location- 31 -

S-10

Solar Plant
etc.

CS
Minamishimabar
a-shi Power
Plant (East) / CS
Minamishimabar
a-shi Power
Plant (West)

Minamishimabarashi, Nagasaki

56,066

S-11

Solar Plant
etc.

CS Minanomachi Power
Plant

Chichibu-gun,
Saitama

S-12

Solar Plant
etc.

CS Kannamicho Power Plant

Tagata-gun,Shizuoka

S-13

Solar Plant
etc.

CS Mashikimachi Power
Plant

S-14

Solar Plant
etc.

S-15

S-16

40

February 26,
2013 (East)
February 26,
2013 (West)

December 24,
2035 (East)
January 28,2036 (West)44,90432

December 11,
2014

December 06,
2036

41,33936

March 31,2014

March 02,2037

Kamimashiki-gun,
Kumamoto

638,552（Note2）36

October 24,
2013

June 01, 2037

CS Koriyamashi Power Plan

Koriyama-shi,
Fukushima

30,376（Note1）32

February 27,
2015

September
15, 2036

Solar Plant
etc.

CS Tsuyama-shi
Power Plant

Tsuyama-shi,
Okayama

31,05932

September
26, 2014

June 29, 2037

Solar Plant
etc.

CS Ena-shi
Power Plant

Aza Ochise,
Kusumi, Osashimacho, Ena-shi, Gifu

37,37332

February 24,
2015

September
12, 2037

S-17

Solar Plant
etc.

CS Daisen-choPower Plant (A)and (B)

Aza Magoese,
Toyofusa, Daisencho, Saihaku-gun,Tottori (A)Aza Kamikawara,
Toyofusa, Daisencho, Saihaku-gun,Tottori (B)452,760（Note 3）40

February 22,2013 (A)February 28,
2013 (B)

August 9,
2037

S-18

Solar Plant
etc.

CS Takayamashi Power Plant

Shingumachi,
Takayama-shi, Gifu

16,278(Note 1）32

January 30,
2015

October 09,
2037

S-19

Solar Plant
etc.

CS Misatomachi Power
Plant

Misato-machi,
Kodama-gun,
Saitama

25,31532

January 6,
2015

March 26,
2037

S-20

Solar Plant
etc.

CS Marumorimachi Power
Plant

Marumori-machi,
Igu-gun, Miyagi

65,306(Note 4)36

February 28,
2014

July 12, 2038

S-21

Solar Plant
etc.

CS Izu-shi
Power Plant

Ono Aza Okubo,
Izu-shi, Shizuoka

337,160

36

March 31,2014

November29, 2038(Note 1) Site area for the portion of the solar energy plants land under ownership is shown and excludes the portion of the land where we hold aneasement.
(Note 2) Site area for the portion of the solar energy plants and high-voltage land under ownership is shown and excludes the portion of the land
where we hold an easement.
(Note 3) Site area for the portion of the solar energy plants and high-voltage land under superficies is shown and excludes the portionof the land where we hold an easement.
(Note 4) Site area for the portion of the solar energy plants and high-voltage land and access roads under superficies is shown and excludes the
portion of the land where we hold an easement.

- 32 -

Asset #

S-01

S-02

S-03

S-04

S-05

S-06

S-07

S-08

S-09

S-10

S-11

S-12

Project name

Certified
Operator

PPA company

AcquisitionPrice(million yen)
(Note 1)

Fiscal period
end valuation(million yen)
(Note 2)563

CS Shibushishi Power Plant

Tida Power
01 G.K

KyushuElectric Power
Co., Inc540

CS Isa-shi
Power Plant

Tida Power01
G.K.

KyushuElectric Power
Co., Inc

372

CS Kasama-shi
Power Plant

Tida Power01
G.K.

TEPCO
Energy Partner,
Incorporated

907

Tida Power01
G.K.

KyushuElectric Power
Co., Inc

778

CS Isa-shi Daini Power Plant

CS Yusui-cho
Power Plant

Tida
Power01
G.K.

KyushuElectric Power
Co., Inc

344
368

347
23
785
860

1,044
259
723
766

720
42
628

670

660

622
31

949

Tida
Power01
G.K..

TEPCO
EnergyPartner,
Incorporated

850

CS Hiji-machi
Power Plant

Tida
Power01
G.K.

KyushuElectric
Power Co.,
Inc

1,029

CS Ashikitamachi Power
Plant

Tida
Power01
G.K..

KyushuElectric
Power Co.,IncCS
Minamishimabara-shi Power
Plant (East) /CS
Minamishimabara-shi Power
Plant (West)

511
142

KyushuElectric Power
Co., IncCS Kasama-shi
Dai-ni Power
Plant

facility)(lower：land)

Fiscalperiod end
book value(millionyen) (Note
4)

421

Tida
Power01
G.K..

CS Isa-shi Daisan Power Plant

Appraisal value ofsolar plants(million yen)(Note 3)(upper：solar energy

883
943

882
59
846

889

783
43
972

1,012

951
40
951

989

991

917
39
1,719

Tida Power
01 G.K.

KyushuElectric Power
Co., Inc

1,733

CS Minanomachi Power
Plant

Tida
Power01
G.K.

TEPCO Energy
Partner,
Incorporated

1,018

CS Kannami-

Tida

TEPCO Energy

514- 33 -

1,800

1,608
80

868
1,137

991
269

571

526

481

S-13

S-14

S-15

S-16

S-17

S-18

S-19

S-20

S-21

cho Power
Plant

Power01
G.K..

Partner,
Incorporated

CS Mashikimachi Power
Plan

Tida
Power01
G.K.

KyushuElectric Power
Co., Inc.

20,084

CS Koriyamashi Power Plan

Tida
Power01
G.K..

TohokuElectric Power
Co., Inc.

246

CS Tsuyamashi Power Plan

Tida
Power01
G.K..

The Chugoku
Electric Power
Co., Inc.

746

Tida Power01
G.K..

The Chubu
Electric Power
Co., Inc.

757

Tida
Power01
G.K..

The Chugoku
Electric Power
Co., Inc.

10,447

CS Takayama- Tida Power01
shi Power Plant
G.K.

The Chubu
Electric Power
Co., Inc.

326

CS Misatomachi Power
Plant

Univergy
G.K.
(Note 5)TEPCO Energy
Partner,
Incorporated

470

CS Marumorimachi Power
Plant

CLEAN
ENERGIESSOLUTIONS
K.K. (Note 5)

TohokuElectric
Power Co.,
Inc.

850

CS Izu-shi
Power Plant

LOHAS
CLEAN
ENERGIESWORLD K.K.

TEPCO Power
Grid,
Incorporated

4,569

4,647
(Note 6)48,85051,498

CS Ena-shi
Power Plant
CS Daisen-choPower Plant(A) and (B)0145
18,242
21,732

18,820
3,490
210

262

242
52
656

796

761
140
797

834

688
37
10,437

10,80910,023
372
280

342

323
61

478
(Note 6)848
(Note 6)

347
477
131
830
843
18
4,408
4,613

239
45,881

Total

46,473
5,617(Note 1) Acquisition price is based on acquisition price as described in the purchase agreements (excluding acquisition expenses related to the payment ofoutsourcing service fees, property-related taxes, taxes on depreciable assets, urban planning taxes, consumption taxes and other fees).
(Note 2) Median project valuation report amount is the median amount that we calculated based on the estimated values as of December 31, 2019 provided
to us by PricewaterhouseCoopers Sustainability LLC or Ernst & Young Transaction Advisory Services Co., Ltd. in its project valuation report.
Based on the appraised value in the range stated in the valuation report with the date of the value opinion on December 31, 2019, which was
obtained from PricewaterhouseCoopers Sustainability LLC or Ernst & Young Transaction Advisory Services Co., Ltd., the Investment
Corporation calculated the total sum of the intermediate values according to Article 41, paragraph 1 of the CSIF's Articles of Incorporation, andthe said sum is used in the statement.
(Note 3) On the upper row of the appraisal value of solar plants, an assumed appraisal value of solar energy projects that is obtained by deducting the realestate appraisal value calculated by Daiwa Real Estate Appraisal Co., Ltd. from the appraised value at the end of the period in (Note 2) above isstated, and on the lower row, an amount stated in the real estate appraisal report prepared by Daiwa Real Estate Appraisal Co., Ltd. is stated. Realestate includes its superficies right.
(Note 4) Fiscal period end book value is the book value of solar energy as of December 31, 2019.
(Note 5) Former certified operator, Univergy 01 G.K. for CS Misato-machi Power Plant and CLEAN ENERGIES SOLUTIONS K.K. for CS Marumorimachi Power Plant, were merged into Tida Powe01 G.K. as of July 6, 2019.
(Note 6) The figures have been provided by Ernst & Young Transaction Advisory Services Co., Ltd. and rounded down for the amount less than JPY
million.

- 34 -

b. Revenue and expenses of individual renewable energy power generation facilities
Fifth fiscal period (from July 1, 2019 to December 31, 2019)(Unit: thousand yen)
Asset number

S-01

S-02

S-03

S-04

S-05

CS Isa-shi
CS Isa-shi CS Kasama-shi Dai-niPower Plant Power Plant Power Plant

CS Yusuicho Power
Plant

Total portfolio

CS Shibushishi Power
Plant

1,567,010

19,137

14,171

29,39929,263

23,476

520,930

6,288

5,230

10,669

9,522

8,425

176

-

-

173

-

-

2,088,116

25,426

19,40240,24238,78531,901

217,112

2,254

1,698

3,792

3,768

3,274

217,112

2,254

1,698

3,792

3,768

3,274

-

-

-

-

-

-

205,055

2,296

2,635

3,255

4,695

4,438

146,524

2,073

1,655

2,879

2,756

2,850

1,768

-

-

-

-

-

(Utilities expenses)

-

-

-

-

-

-

(Insurance expenses)

19,571

223

182

375

347

324

(Land rent )37,190

-

797

-

1,590

1,263

-

-

-

-

-

-

Depreciation cost

839,638

9,472

7,837

14,462

16,457

14,260(Structures)

18,125

457

256

324

306

595

(Machinery and equipment)

810,715

8,973

7,563

14,104

16,10913,429(Tools, furniture and fixtures)

10,797

41

17

33

41

235

Total operating revenue from therental business of renewable energy
power generation facilities, etc.
(subtotal B)

1,261,805

14,023

12,17021,51024,92021,972

Profits and losses from the rental
business of renewable energy power
generation facilities, etc. (A-B)

826,311

11,402

7,232

18,731

13,864

9,928

Project nameRental revenue of renewable energy
power generation facilities, etc.
Basic rent
Variable rent linked to actual
output (Note)
Incidental income
Total operating revenue from therental business of renewable energy
power generation facilities, etc.
(subtotal A)
Operating expenses from the rental
business of renewable energy power
generation facilities, etc.
Taxes and duties(Property-related taxes, etc.)(Other taxes)
Expenses(Management entrustment
expenses)(Repair and maintenance costs)(Other rental cost)(Note) As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc., in the case of CS Shibushi-shi Power
Plant, CS Isa-shi Power Plant, CS Isa-shi Dai-ni Power Plant and CS Yusui-cho Power Plant, from which Kyushu Electric Power Co., Inc. purchases- 35 -

electricity, CSIF determined variable rent linked to actual output for December 2019 based on output measured by the monitoring system. As of thedate of this report, CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent linked to actual
output on February 10, 2020 to ensure that the variable rent linked to actual output is based on the purchased electricity stated in the notification ofpurchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

- 36 -

(Unit: thousand yen)
Asset number

Project name

S-06

S-07

S-08

S-09

S-10

CS
Minamishimabarashi Power Plant
CS Hiji-machi CS Ashikita-machi(East) / CS
Power Plant
Power Plant
Minamishimabarashi Power Plant(West)CS Kasama-shi
CS Isa-shi Dai- Dai-ni Powersan Power Plant Plant

Rental revenue of renewable energy
power generation facilities, etc.
Basic rent

34,85129,01337,482

37,11365,521

11,728

9,415

10,943

11,371

20,782

-

-

-

-

-

46,57938,42948,42648,48486,303

4,494

4,304

5,166

4,876

8,530

4,494

4,304

5,166

4,876

8,530

-

-

-

-

-

5,459

5,606

5,547

5,880

10,188

3,042

2,847

3,578

3,758

5,317

(Repair and maintenance costs)

-

-

-

-

-

(Utilities expenses)

-

-

-

-

-

(Insurance expenses)

379

362

456

440

611

2,036

2,396

1,512

1,681

4,260

-

-

-

-

-

Depreciation cost

19,79917,60422,07020,21635,224(Structures)

290

247

835

1,441

739

19,45817,314

21,12018,523

34,235(Tools, furniture and fixtures)

51

42

114

252

248

Total operating revenue from therental business of renewable energy
power generation facilities, etc.
(subtotal B)

29,75327,51432,78330,97353,943

Profits and losses from the rental
business of renewable energy power
generation facilities, etc. (A-B)

16,826

10,914

15,643

17,51132,360

Variable rent linked to actual
output (Note)
Incidental income
Total operating revenue from therental business of renewable energy
power generation facilities, etc.
(subtotal A)
Operating expenses from the rental
business of renewable energy power
generation facilities, etc.
Taxes and duties(Property-related taxes, etc.)(Other taxes)
Expenses(Management entrustment
expenses)(Land rent )(Other rental cost)(Machinery and equipment)(Note) As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc., in the case of CS Isa-shi Dai-san Power- 37 -

Plant, CS Hiji-machi Power Plant, CS Ashikita-machi Power Plant and CS Minamishimabara-shi Power Plant, from which Kyushu Electric Power Co.,
Inc. purchases electricity, CSIF determined variable rent linked to actual output for December 2019 based on output measured by the monitoring
system. As of the date of this report, CSIF has received notification of purchased electricity for December 2019 and, therefore, adjusted variable rent
linked to actual output on February 10, 2020 to ensure that the variable rent linked to actual output is based on the purchased electricity stated in the
notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current fiscal period is insignificant.

- 38 -

(Unit: thousand yen)
Asset number
Project name

S-11

S-12

S-13

S-14

S-15

CS Minano-machi CS Kannami-cho CS Mashiki-machi CS Koriyama-shi CS Tsuyama-shi
Power Plant
Power Plant
Power Plan
Power Plan
Power Plan

Rental revenue of renewable energy
power generation facilities, etc.
Basic rent

30,68818,456688,283

7,580

22,141

2,722

5,304

232,965

3,317

12,485

-

-

-

2

-

33,41023,760921,249

10,901

34,627

4,410

2,398

96,650

1,296

3,898

4,410

2,398

96,650

1,296

3,898

-

-

-

-

-

3,750

3,976

69,026

1,590

2,982

3,313

2,108

60,428876

2,704(Repair and maintenance costs)

-

-

176

600

-

(Utilities expenses)

-

-

-

-

-

(Insurance expenses)

436

213

8,356

113

278

(Land rent )

-

1,654

65

-

-

(Other rental cost)

-

-

-

-

-

Depreciation cost

16,132

9,662

344,350

4,191

12,949(Structures)

766

380

3,531

327

376

15,3669,226

332,916

3,864

12,267

-

55

7,902

-

304

24,293

16,036510,027

7,077

19,829

9,117

7,724

411,221

3,823

14,797

Variable rent linked to actual output(Note)
Incidental income
Total operating revenue from therental business of renewable energy
power generation facilities, etc.
(subtotal A)
Operating expenses from the rental
business of renewable energy power
generation facilities, etc.
Taxes and duties(Property-related taxes, etc.)(Other taxes)
Expenses(Management entrustment
expenses)(Machinery and equipment)(Tools, furniture and fixtures)
Total operating revenue from therental business of renewable energy
power generation facilities, etc.
(subtotal B)
Profits and losses from the rental
business of renewable energy power
generation facilities, etc. (A-B)(Note) As a result of the failure of the wheeling charge calculation system of Kyushu Electric Power Co., Inc., in the case of CS Mashiki-machi Power
Plant, from which Kyushu Electric Power Co., Inc. purchases electricity, CSIF determined variable rent linked to actual output for December 2019
based on output measured by the monitoring system. As of the date of this report, CSIF has received notification of purchased electricity for December
2019 and, therefore, adjusted variable rent linked to actual output on February 10, 2020 to ensure that the variable rent linked to actual output is basedon the purchased electricity stated in the notification of purchased electricity. CSIF judges that the impact of this adjustment on income in the current
fiscal period is insignificant.

- 39 -

(Unit: thousand yen)
Asset number

S-16

S-17

S-18

S-19

S-20

Project name

CS Ena-shi
Power Plant

CS Daisen-choPower Plant (A)and (B)CS Takayamashi Power Plant

CS Misatomachi Power
Plant

CS Marumorimachi Power
Plant

Rental revenue of renewable energy
power generation facilities, etc.
Basic rent

25,611

385,926

9,720

13,00528,330

Variable rent linked to actual output

12,203

121,853

4,625

5,628

6,694

-

-

-

-

-

37,815

507,780

14,346

18,63435,025

4,344

59,954

2,006

-

-

4,344

59,954

2,006

-

-

-

-

-

-

-

4,007

53,885

1,393

2,230

8,421

2,801

36,009

1,269

1,315

2,666

(Repair and maintenance costs)

-

-

-

645

346

(Utilities expenses)

-

-

-

-

-

(Insurance expenses)

273

5,019

123

269

782

(Land rent )933

12,856

-

-

4,625

-

-

-

-

-

Depreciation cost

14,510214,565

5,496

7,594

17,036(Structures)

589

4,902

344

176

503

13,823208,879

5,139

7,345

16,297

97

782

12

72

234

Total operating revenue from the rental
business of renewable energy power
generation facilities, etc. (subtotal B)

22,862

328,404

8,895

9,824

25,457

Profits and losses from the rental
business of renewable energy power
generation facilities, etc. (A-B)

14,953

179,375

5,450

8,809

9,567

Incidental income
Total operating revenue from the rental
business of renewable energy power
generation facilities, etc. (subtotal A)
Operating expenses from the rental
business of renewable energy power
generation facilities, etc.
Taxes and duties(Property-related taxes, etc.)(Other taxes)
Expenses(Management entrustment
expenses)(Other rental cost)(Machinery and equipment)(Tools, furniture and fixtures)- 40 -

(Unit: thousand yen)
Asset number

S-21

Project nameCS Izu-shi
Power Plant

Rental revenue of renewable energy
power generation facilities, etc.
Basic rent

17,832

Variable rent linked to actual output

8,750

Incidental income
Total operating revenue from the rental
business of renewable energy power
generation facilities, etc. (subtotal A)

26,582

Operating expenses from the rental
business of renewable energy power
generation facilities, etc.
Taxes and duties-(Property-related taxes, etc.)-(Other taxes)-

Expenses(Management entrustment
expenses)

3,786
2,270

(Repair and maintenance costs)-(Utilities expenses)-(Insurance expenses)-(Land rent )(Other rental cost)

1,516
-

Depreciation cost

15,742(Structures)

732(Machinery and equipment)

14,755(Tools, furniture and fixtures)

254

Total operating revenue from the rental
business of renewable energy power
generation facilities, etc. (subtotal B)

19,528

Profits and losses from the rental
business of renewable energy power
generation facilities, etc. (A-B)

7,053(Note) The calculation period of the fifth fiscal period is from July 1,2019 to December 31,2019 (184days);
however, the substantial period of CS Izu-shi Power Plant is from November 29, 2019 to December 31,2019 (33 days).

- 41 -

(3) Plan for capital expenditure
The following table shows projected major capital expenditures for renewable energy power generation facilities, etc. owned by
CSIF after January 2020. Some portion of the amount are to be treated as expenses for accounting purpose.
Projected amount (million yen)
Name ofinfrastructure
assets, etc.

Location

Purpose

Projected period

CS Mashikimachi Power
Plant

Mashiki-machi
Kumamoto

Building works forcurtailment control

From February 2020
To September 2020

Total
amountAmount paid
during the
fiscal period
under review

Amount paidby prior period

－

－

32

(4) Capital expenditure during the fiscal period
The following table shows capital expenditures for renewable energy power generation facilities, etc. owned by CSIF during the
fiscal period under review.
Name of infrastructure assets, etc.
(Location)

Amount paid
(thousand yen)

Purpose

Implementation period

CS Isa-shi Dai-san Power Plant(Isa-shi, Kagoshima)

Inclination correction works
for junction box

From November 1, 2019
To December 2, 2019

3,366

CS Tsuyama-shi Power Plant(Tsuyama-shi, Okayama)Land curing works

From August 5, 2019
To August 30, 2019

1,720

Other plants

970
Total

- 42 -

6,056